All Income Tax Queries (refunds, disputes, rates etc...)

This is a discussion on All Income Tax Queries (refunds, disputes, rates etc...) within Shifting gears, part of the Around the Corner category; Originally Posted by Rajeevraj
Had a question on Interest Exemption for a second property. I am aware that unlike the ...

Had a question on Interest Exemption for a second property. I am aware that unlike the first (or self occupied) property, where the loss on house property claim is restricted to 2L, in the case of a 2nd let out property (or deemed let out), there is no cap on the interest that can be claimed as deduction and the full interest component can be reduced from taxable income.

I have been paying full EMI from ~May 2015. The registration and handover is expected to be done in March 2016. Question is, can I claim deduction for all the interest that I have paid in 2015-16 or whether I need to do some prorating and can claim on a component for the period after hand over (In this case then it will be just for the month of March).

I have asked in a few places and have not got a clear answer. Some folks say irrespective of the date of possession, as long as it is in the current financial year, all interest can be claimed, some folks say otherwise.

Also, what is the definition of possession as per IT Department. is it the registration of the property?

Thanks in advance.

What you have referred to as 1/5th is called as Pre-construction period interest. Pre-construction period starts from the date of borrowing of loan till 31st March of the year immediately prior to year in which the construction of property is completed.

In your case, since the construction would be completed and you would be taking handing over of the property in March 2016, pre-construction period would be till 31st March 2015. So, whatever interest you have paid till 31st March 2015 can be claimed in 5 years (1st cut would be available for FY 2015-16) along with the current year (i.e. interest paid from April 2015 to March 2016) full interest.

Also remember, if you are already owning another property, this would be treated as deemed let out and you have to declare deemed amount of rental income for the same.

Link to the definition of the pre-construction period is below. Refer the Explanation in the provided in the section.

Hi everybody.
I have shares so does my wife.
If I transfer them to our daughter it would make that transaction an off market one. In that case there is no STT or any tax paid.
In such cases what is the tax ruling and under which section does it come? Will I have to show long term gains in the year of the transfer? AFAIR if the trade is an off market, the transferor has to show it long term capital gain and has to pay 20 tax after indexation or if opts out of indexation then 10%.
Am aware that any gift to a daughter is free but in such cases what is the section applicable?
One another point.If my daughter sells the share before and/or after 1 year then how does she do calculations?
Thanks a lot in advance
Regards

Not sure if my question qualifies as a PAN card query or Income Tax query. The issue i am facing is that on the TRACES and IT website my PAN can has somebody elses name!!.

Not sure how this happened but this is the case now. When i logged in today to http://incometaxindiaefiling.gov.in/ to download few old forms, i got a a pop-up to link my Aadhar and that page had my PAN but somebody elses name and Date Of Birth.

I spoke with the PAN department and there database has the correct details but the IT department has wrong information now. I did try speaking with them but they were not able to help and have asked me to visit the local IT office.

Is there someone here dealing with company returns, auditing etc. in Bangalore ? My Pvt Ltd company was incorporated in April 2013 but not a single paperwork is done nor anything filed till date. Main reason was my absence from India many months in 2013, 2014 and 2015. So, things were going active out of India as a separate entity and registration there. I like to keep the record clean and transparent in India for potential future needs. As of now, activities in India are almost nil for this year 2016.

I like to know the minimum annual income slab for taxation and the online mode of doing it. I have the company PAN, DIN etc.

Appreciate any help or lead that can help me complete this pending work !

In July 2015, while filing online tax return thru a private portal, I had mentioned INCORRECT TAN no of my employer. Hence the entire TDS deducted by employer was mismatched ( between Form 16/Traces and my return ). I got a intimation demanding tax of Rs.XXX85, with TAN error.

Immediately I realised the mistake and submitted a online Rectification in income tax portal only. Within a month, it was processed on 15th Oct 2015, corrected and final status shown in income tax site as 'No Refund, No Demand' for AY 2015-16.

Now comes the twist...I got a letter from Local Asst Comm Office in Feb 2016 , and demanding the same unpaid tax of Rs.XXX85.

This shows a disconnect . I called up the Income Tax CPC unit,and they told me first to ignore this new local demand letter after checking all details currently against my PAN number and no demand apperaing. Then , he suggested also , that you may contact the Asst Comm of Income Tax , and give him all these portal proof and printout.

I am in a fix ...pls suggest among 2 options :

1) Should I ignore this letter and in that case, will it lead to further complications in future for not responding ?

In July 2015, while filing online tax return thru a private portal, I had mentioned INCORRECT TAN no of my employer. Hence the entire TDS deducted by employer was mismatched ( between Form 16/Traces and my return ). I got a intimation demanding tax of Rs.XXX85, with TAN error.

Immediately I realised the mistake and submitted a online Rectification in income tax portal only. Within a month, it was processed on 15th Oct 2015, corrected and final status shown in income tax site as 'No Refund, No Demand' for AY 2015-16.

Now comes the twist...I got a letter from Local Asst Comm Office in Feb 2016 , and demanding the same unpaid tax of Rs.XXX85.

This shows a disconnect . I called up the Income Tax CPC unit,and they told me first to ignore this new local demand letter after checking all details currently against my PAN number and no demand apperaing. Then , he suggested also , that you may contact the Asst Comm of Income Tax , and give him all these portal proof and printout.

I am in a fix ...pls suggest among 2 options :

1) Should I ignore this letter and in that case, will it lead to further complications in future for not responding ?

Or

2) should I respond via registered post with all proofs etc ?

Suggest you to send a response with RPAD with all the documentation you have, I.e Form 16, online rectification acknowledgement and the final status prints. Just make a simple cover letter with all the facts and request them to drop the current proceedings initiated.

Should get sorted out since issue is pertaining to salary. If it persists you may have to contact your consultant to appear in person.

Is there someone here dealing with company returns, auditing etc. in Bangalore ? My Pvt Ltd company was incorporated in April 2013 but not a single paperwork is done nor anything filed till date. Main reason was my absence from India many months in 2013, 2014 and 2015. So, things were going active out of India as a separate entity and registration there. I like to keep the record clean and transparent in India for potential future needs. As of now, activities in India are almost nil for this year 2016.

I like to know the minimum annual income slab for taxation and the online mode of doing it. I have the company PAN, DIN etc.

Appreciate any help or lead that can help me complete this pending work !

There is no minimum annual income criteria for companies. Each rupee of profit is taxable.

I can help you to connect you with my friends who are into CA practice if you wish.

Please do, appreciate the help. I am near Hebbal, so it would be really an advantage if I can get someone closer to this area. I am hating the traffic here each day, it will reach a stage I may eventually move to a village

I have sold my ESOPs as part of the monetizing event in the company. The ESOPs were in USD

The balance $$ that were earned were converted into Rs and TDS deducted at source.
Unfortunately the TDS was deducted at at higher exchange rate than the Rs amount paid to us. This has resulted in higher TDS being paid by us (~30K)
We are now being asked by our HR to claim Capital Gains loss at the time of filing IT returns and get the reimbursement

- Shouldnt this be part of the Payroll TDS itself
- What documents will be required claim Capital Gains loss and get a reimbursement
- Is the process simple enough or will I need to go thru the hoops
- Which IT form will I need to fill up (I have been using Saral till date)